Troy University FRESHMAN (and econ major!!!), Pradyot Sharma, points out that governments might respond to foreign aid in ways that actually diminish any benefit the aid agencies are providing.
There are thousands of people who visit the country each year to volunteer in one way or another. These NGOs and volunteers not only bring in their expertise to help combat social and developmental challenges but also contribute a lot towards the tourism sector which employs a huge bulk of the population and is the main source of foreign exchange for the government. The expats who live there to do this aid work also have a purchasing power most Cambodians do not enjoy. As such, they are one of the main contributors to the national tax coffers. The government officials themselves make a lot of money from these people since the corruption rate is high – which I witnessed when the immigration official asked me for a $50 “processing fee” before stamping my passport.